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Employee Stock Option Valuation: New Source of Litigation Risk for Auditors
The CPA JournalLink to more items from this source
Oct. 3, 2004
Excerpt: On March 31, 2004, FASB released the Exposure Draft on Share-Based Payment, an Amendment of SFAS 123 and 95, requiring companies to expense the value of employee stock options that they issue. The exposure draft recommends using a 'lattice model' to determine the value of options for most public companies, and establishes guidelines for their construction.

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